3.7 The Projects of Concern list was established in 2008 to focus the attention of Defence and industry senior management on solving the issues required to remediate listed projects. Projects are placed on the list by the Minister for Defence Materiel on the recommendation of the CEO DMO. Projects are put on the list when, for example, there are significant challenges with scheduling, cost or capability delivery.56
3.8 During 2009-10 fieldwork the ANAO observed that five MPR projects were Projects of Concern. The Minister for Defence Materiel determines if a project is one of concern following a recommendation by the CEO DMO and projects are removed from the Projects of Concern list once the Minister is satisfied that remediation activity has been completed successfully. The ANAO has been provided with access to the reporting framework for the five MPR projects listed as Projects of Concern, to gain assurance that the information presented was consistent with the information in the 2009-10 MPR.
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56 The Hon Stephen Smith, Minister for Defence and The Hon Jason Clare MP, Minister for Defence Materiel, Press Release, Projects of concern - Update, 15 October 2010.